JUDICIARY
Between GML, Zenith Bank, FIDC, Others And The Law
By Kenneth Atavti
The Management of Granite and Marble Ltd, (GML) has dragged Zenith Bank Plc, Zenith Bank UK, First Investment Development Company (FIDC) and Prudential Mortgage Bank (PMB) before a Federal High Court in Abuja over alleged forgery, illegal conversion of equity, illegal operations of bank account, economic sabotage and threat to life.
In what may possibly go down as a watershed case in Nigeria’s corporate circles, the Abuja based mining company is demanding N635bn for damages for the alleged infractions committed against it by the four banks and others.
According to the writ of summons, those listed alongside as defendants are, Ebenezer Onyeagwu MD of Zenith Bank, Adebisi Adebutu MD of FIDC, Eyo Asuquo MD of PMB, Mrs Adaora Umeoji, Deputy MD Zenith bank, Yewande Esan and others.
The suit as filed at the Federal High Court Abuja on behalf of GML and others by Messrs Sebastine T Hon (SAN), AA Malik (SAN) and Paul Harris Ogbole (SAN), accuses Zenith Bank of diverting the sum of N1billion approved to GML by the Central Bank of Nigeria and routed through it (Zenith Bank).The plaintiffs also alleged that Zenith Bank Plc and its officers connived with Mr Adebutu, Mr Asuquo, FIDC and PMB to illegally change signatories to the GML accounts without the authorization of the signatory to the account. FIDC and PMB are also alleged to have forcefully taken over the operations of the quarry site of GML despite not paying for the shares of the company they proposed to buy.
Also, GML claims that Zenith Bank Plc held unto its verified assets for four years as collaterals without disbursing the N1billion RSSF funds approved for it by the CBN. In the suit which is accompanied by a 126 point statement of claim, GML and its Directors narrates their ordeal in the hands of the institutions and individuals leading to massive revenue losses, arrest of members of their families, prevention from access to their business premises and transferring their accounts to persons not properly and legally authorized to do so.
GML claims that sometime in 2016, its Managing Director was on President Muhammadu Buhari’s delegation on his first trade visit in China as a representative of the mining sector. While on that trip, he signed an agreement with SBM China Ltd one of the world’s largest manufacturers of mining equipment to establish the biggest mining processing plant in Africa to be located in Abuja. According to the company it was on the strength of this agreement that they approached and got approval for a N1billion facility from the Real Sector Support Fund (RSSF) operated by the Central Bank of Nigeria.
As stated further in the writ, not only did Zenith Bank refuse to release the funds which were the counterpart commitment of the company, it frustratingly held on to the company’s assets and wrote several approval and offer letters without disbursements. At a point, Zenith Bank claimed in a letter that the funds will be disbursed by their UK subsidiary, Zenith UK Ltd. The refusal by Zenith to release the funds jeopardized the agreement signed in China and robbed Nigeria of the chance to provide thousands of jobs and reduce cost of construction.
Also detailed in the suit, Messrs Eyo Asuquo, FIDC and PMB approached GML to purchase shares in the company valued at an agreed combined sum of N700million. Despite not paying for these shares, they illegally tampered with the company documents at the Corporate Affairs Commission and introduced names of themselves and substituted the names of other directors and the company secretary based on forged board resolutions. It is with these altered documents that they connived with zenith bank to change the signatory to the account.
Adebutu and his team also forcefully took over the sites of the company and conspired with Zenith Bank to draw down from the RSSF facility using the instrumentality of a forged deed of debenture. The writ also claims that while the quarry site was taken over by the purported new owners, illegal trade in unlicensed explosives were carried out thereby endangering residents of the neighborhood. It concluded that evidence of illegal trade in explosives by the interlopers are before the EFCC.
Thus, for the trauma experienced by the families, the cancelation of the contract occasioned by the activities of Zenith bank and the massive loss of revenues occasioned by the illegal takeover of the company, the plaintiffs are stating a claim of N635bn or $1.2bn.
Meanwhile, Justice Inyang Eden Ekwo of the Federal High Court, Abuja on January 21, 2022 granted the plaintiffs’ request for substituted service of court documents on Zenith Bank, UK through DHL, a courier firm. The judge granted the substituted service order while ruling on an ex-parte application filed and argued by lead counsel to the plaintiffs, Chief Sebastine Hon (SAN). Justice Ekwo consequently fixed March 8, 2022 for the hearing of the suit.
Atavti, is the Judiciary Editor of Nigerian Pilot Newspaper in Abuja.
From Hassan Taiye
The Nigerian Bar Association (NBA) President, Afam Osigwe, SAN, has been praised for his visionary leadership and transformative impact on the legal profession. Since assuming office, Osigwe has demonstrated a steadfast commitment to justice, human rights, and the rule of law.
According to Barrister Hamza N Dantani, Osigwe’s leadership has been marked by bold initiatives, fearless advocacy, and groundbreaking reforms. He has restored the NBA’s traditional role of holding leaders accountable and promoting the rule of law, challenging unconstitutional actions and human rights abuses.
One of the notable achievements of Osigwe’s presidency according to Hamza, is the repositioning of the Institute of Continuing Legal Education (ICLE). The introduction of a mandatory Continuing Professional Development (CPD) regime has elevated professional competence and aligned the Nigerian Bar with international standards.
“Osigwe has also been instrumental in promoting human rights and public interest litigation. He has spearheaded campaigns against arbitrary arrests, electoral malpractice, and anti-democratic legislation, and established regional litigation committees nationwide”
“The NBA President’s commitment to technology and innovation has also been noteworthy. The launch of the Digital Annual Practice License and the digitization of the Letter of Good Standing have marked a new era in transparency and efficiency within the profession”
He further stated that ” Osigwe’s administration has prioritized the growth and success of young lawyers. The Nigerian Bar Association–Young Lawyers Forum (NBA-YLF) has introduced tailored mentorship, support programs, and funding initiatives to address the challenges faced by young lawyers”
“The 2025 NBA Annual General Conference, organized under Osigwe’s leadership, was hailed as one of the most successful in the history of the Association. The conference equipped lawyers with practical strategies to navigate contemporary legal and societal challenges.”
“Engine’s leadership style has been described as inclusive, humble, and genuinely committed to serving the legal profession. His detribalized approach has earned him respect across regions, political divides, and professional ranks.”
He expressed optimising that ” As Osigwe continues to lead the NBA, his legacy is expected to leave a lasting impact on Nigeria’s legal landscape. His commitment to justice, human rights, and the rule of law has restored the NBA’s image as the nation’s conscience”.
Professor Chidi Odinkalu, a legal scholar and judicial reform advocate, has praised the Chief Justice of Nigeria (CJN), Justice Kudirat Kekere-Ekun, for her decisive action in addressing misconduct within the judiciary.
The National Judicial Council (NJC) recently sanctioned five judicial officers for professional breaches, including age falsification and other misconducts. The decisions were made during the NJC’s 107th meeting held on November 13 and 14, 2024.
Judges Sanctioned for Misconduct
Among those sanctioned were:
- Justice Chukwuemeka Chikeka, Chief Judge of Imo State, who was recommended for compulsory retirement effective October 27, 2021. Justice Chikeka was found to have falsified his date of birth, with inconsistencies noted between 1956 and 1958. He was also directed to refund salaries and allowances received after his official retirement date.
- Hon. Kadi Babagana Mahdi, Grand Kadi of Yobe State, was also recommended for compulsory retirement after discrepancies in his date of birth were discovered. Records showed three different birth dates, while his actual year of birth was determined to be 1952. The NJC found that he should have retired 12 years ago and ordered him to refund salaries and allowances received during this period.
- Justice G.C. Aguma of Rivers State High Court and Justice A.O. Nwabunike of Anambra State High Court were suspended from duties for one year.
Odinkalu’s Commendation
Reacting to the NJC’s decision, Professor Odinkalu commended the Chief Justice of Nigeria for her swift and decisive response.
“Madam CJN, Kudirat Kekere-Ekun, has acted swiftly on this matter of age falsification by the Chief Judge of Imo State. She has done the right thing the right way,” Odinkalu stated.
He expressed hope that this move would signal a new era of improved judicial standards under Kekere-Ekun’s leadership of the NJC.
NJC’s Commitment to Judicial Integrity
The NJC emphasized its zero-tolerance for misconduct, reiterating its commitment to upholding integrity within the judiciary. The council urged judicial officers to adhere strictly to professional and ethical standards.
The actions taken are seen as a bold step toward restoring public confidence in Nigeria’s judicial system.
Rivers State Governor, Siminalayi Fubara, has called on judges and lawyers to avoid delivering conflicting rulings, which he says undermine justice and governance. His warning follows conflicting judgments that nearly disrupted the local government election in the state.
Speaking at the 2024/2025 Legal Year ceremony in Port Harcourt, Fubara criticized legal professionals who compromise their integrity for personal gain. He emphasized the sacred role of the judiciary in upholding justice and urged judges to remain steadfast in truth.
“You are the god that we are seeing. Your position is to stand and defend us,” Fubara stated, adding that those who compromise justice would face severe consequences, both legally and morally.
Fubara praised the Rivers State judiciary, particularly the High Court, for their support in maintaining stability despite external pressures. He acknowledged threats and assaults faced by judicial officers but encouraged them to remain resolute in their pursuit of justice.
In his sermon, Bishop Rt Rev Wisdom Budu Ihunwo echoed the governor’s concerns, highlighting the negative impact of conflicting judgments on Nigeria’s unity and governance. The bishop warned that those responsible for such actions would eventually face divine punishment.
Governor Fubara concluded by emphasizing the need for strong institutions to safeguard democracy and ensure societal prosperity.
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